Essential HR Best Practices Every SMB Should Follow in 2024

Highlights

  • Small and medium-sized businesses need to keep up with complex and time-consuming HR tasks, from payroll to compliance.
  • Outsourcing payroll allows companies to save valuable time while ensuring their employees get paid accurately and on time.
  • At Quickpay Payroll we provide payroll and administrative services for SMBs, so they can spend more time focusing on business growth. Contact us to get started!

For small or medium-sized businesses, managing an engaged workforce can be a challenge. From hiring the right talent to handling payroll and compliance regulations, there is a lot to consider. HR best practices provide clear direction and focus to your HR team, shaping the path for business growth.

Wondering what to look out for this year? Here are 5 HR best practices you should keep on your radar.

Let’s start!

1 – Improve Your Recruiting & Hiring Process

It’s a competitive world out there — especially for SMBs trying to recruit and retain top talent.

Working at an SMB offers several advantages for potential employees, from greater visibility to faster decision-making. But probably the most important one is the possibility to have a more impactful, meaningful job. Are you highlighting these advantages properly in your job ads?

71% of job seekers say it’s “very” or “extremely important” to see details about company culture in a job description
— Indeed

The recruiting process can be time-consuming and costly, but these best practices can improve your chances of finding top talent:

  • Craft a compelling job description. Qualifications, experience, and skills are still important — but providing a snapshot of your company culture can do a lot to bring like-minded candidates your way.
  • Consider multiple channels. Tap into job boards, social media platforms, employee referrals, and career fairs to attract a diverse talent pool. If you are a local business, participate in community events and join local chapters of professional associations.
  • Use an applicant tracking system. Store all relevant information about job candidates and track their application status. Discover how Quickpay Payroll can support your HR process.

2 – Choose an Experienced Partner to Outsource Payroll

According to a recent survey,

73% of organizations outsource some aspect of payroll
— Deloitte Global Payroll Benchmarking Survey

And you should, too. Payroll is the most critical function of HR and yet is highly time-consuming and prone to errors.

Outsourcing payroll is a very attractive option for small and medium-sized businesses looking to save time and resources while ensuring that all of their employees get paid on time.

Here’s how to get started:

  • Do your research. Before choosing a payroll partner, assess their expertise, read their client reviews, and analyze the scope of services they offer. Keep in mind that payroll encompasses various tasks, from tracking time & assistance to calculating benefits.
  • Clearly define your needs. Outline your payroll needs and expectations before engaging a service provider. This includes understanding the level of support you require, the frequency of payroll processing, and any specific compliance needs. For instance, SMBs might want to have a dedicated payroll expert assigned to their account and be able to access their payroll records at any time from any device.
Learn About the 5 HR Best Practices for SMBs This Year

3 – Offer a Comprehensive Employee Benefits Package

Your employee benefits package is more than just a differentiator — it can be a real deal-breaker when attracting new talent to your company.

A strong benefits plan can boost employees’ motivation and productivity. But first, you need to understand the unique (and always evolving) needs of your workforce.

“Most employees expect their employers to provide medical insurance, while paid family leave, dental, vision, and life insurance are highly valued benefits”.
— EY, 2023 Workforce Benefits Study

Healthcare should be your #1 priority. But if you are growing your team this year, you should also consider:

  • Health & Wellness programs. Gym memberships, mental health counseling, or wellness workshops can be a good way of promoting a healthy and happy workplace while helping reduce absenteeism and turnover rates.
  • Retirement plans. Demonstrate to your employees that you care about their financial well-being and that you are counting on them for the long term.
  • Student-loan assistance. 40% of Gen Z workers mentioned they’d like employers to offer this benefit. Recurring payments or trading PTO or vacation time at the end of the year are two ways of alleviating financial burdens for students.

Managing benefits can be complex. You need to stay compliant with applicable regulations, determine employee eligibility, and set up payroll deductions. Partnering with an administrative services organization (ASO) guarantees you have experts by your side ensuring everything works smoothly.

4 – Stay Compliant with Employment Laws & Regulations

Compliance is crucial to keep your employees and your business safe. As you know, failure to comply can result in hefty fines, damage to your reputation, and even lead to legal action.

Here’s how to ensure compliance this year:

  • Keep up with legislative changes and new compliance requirements. Subscribing to relevant newsletters, attending seminars or webinars, and consulting with HR and legal professionals are just a few ways of staying informed.
  • Create and maintain an employee handbook. Make sure it outlines all compliance-related policies and procedures. Keep your handbook easily accessible to all employees and review it regularly to reflect any changes in laws and regulations.
  • Provide regular training sessions for employees and management. Keep everyone informed about compliance requirements regarding safety protocols, cyber security, anti-harassment, and more.

5 – Allow Employees to Manage HR Tasks from a Self-Service Software

Implementing HR self-service software allows employees to handle some HR tasks, like requesting vacation or sick days, or keeping their personal information updated. This frees up time and resources for your HR department, allowing them to focus on more strategic tasks.

Keep this in mind when choosing an HR self-service software for your SMB:

  • Identify your company’s specific needs and goals. Consider features such as employee data management, time and attendance tracking, performance tracking, and benefits enrollment.
  • Customizable and mobile accessible. Ensure that you can tailor your self-service software to fit your business needs. Bonus points if you can access your software from mobile devices, allowing your employees to access and manage their personal HR information on the go.

The workplace is constantly evolving — and so should your HR best practices. Identifying your SMB’s main priorities and needs allows you to take action to automate HR tasks, improve efficiency, and ensure your employees are safe and properly compensated.

For SMBs lacking the structure and resources of large corporations, staying on top of HR tasks can be challenging. Partnering with a specialized organization can save you valuable time so you can focus on your business growth.

Quickpay Payroll provides payroll services and administrative HR services for businesses of all sizes across the United States. We assign a dedicated professional to your brand and handle all the complex, time-consuming HR tasks so you don’t have to.

Contact us to find out how we can manage your payroll, benefits, and compliance while keeping you aligned with HR best practices!

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